KwaDukuza municipality’s tough stance to curb energy losses is reaping results.
Illegal electricity connections, defaulting consumers, infrastructure theft and vandalism has been an ongoing problem for KDM, costing the municipality millions of rand in revenue.
In last year’s audit, KDM reported losses of R115 million.
KDM is one of many municipalities that act as intermediaries, buying electricity from Eskom and then selling it on to its customers.
The loss of revenue has cut so deeply into municipal finances that KDM established a Revenue and Debt Steering Committee (RDSC) last year to recover some of the costs.
A service provider was also appointed to disconnect defaulters, handing debtors over to attorneys and partially blocking supply to debtors on prepaid meters.
KwaDukuza Municipality spokesperson Sipho Mkhize said at the end of November last year, losses were in the region of 25% of billable revenue.
“Council had to act in order to decrease the debt incurred by the municipality in the category of revenue. With that said, residents were coming forward to say in some instances their neighbours are stealing electricity or are illegally connected and felt it was unfair to them, as they were law abiding,” Mkhize said.
Vandalism of utility infrastructure, cable theft, the removal of oil from substations, the selling and use of illegal prepaid vouchers and non-payment of electricity tariffs are some of the factors characterised as electricity theft.
Since last August the municipality has issued 317 “tamper fines” to the value of R3.7 million – 181 related to business properties with a fine value of R2.5 million and 136 to domestic properties with a fine value of R1.15 million.
Mkhize said so far 150 customers had come forward and paid a total of R1.7 million in fines.
Eighty-seven of the 181 business customers and 63 of the 136 domestic customers have paid their fines.
Mkhize said the municipality had resolved that the drive to eradicate illegal connections would continue on a weekly basis.
The public can report electricity and infrastructure theft anonymously to the electrical engineering services at 032 437 5088 or 060 900 3998.
These include exposed electrical wiring, low-hanging cables, illegal connections, vandalised electrical equipment such as substations and exposed electrical cables due to theft or vandalism.
